Watching Ukraine for Economic, Commodity Fallout

Reuters - A top Federal Reserve official said on Tuesday he is closely watching the unfolding crisis in Ukraine for potential effects on U.S. economic growth and volatility in commodity prices.

"It's something I'm watching really carefully for potential implications for growth," Richmond Fed President Jeffrey Lacker told the Council of Economic Education. "We obviously worry first about the disruptions of the commodity markets ... and volatile commodity prices."

Russia's military intervention in Ukraine's Crimea peninsula has driven up oil markets. But prices eased on Tuesday after President Vladimir Putin told reporters Russia would only use force as a "last resort."